Gvc Share Discussion Threads

[shayadfn] 31/12/2017 12:14

Well its been an eventful year, for us GVC holders and profitable, its never been a straight climb to where we are at the present. I remember we were questioning the wisdom buying Bwinparty (rightly so), when the price went below £4.00, but it seem to have worked out well. Lets hope our Ken's figures well worked out and he's not suffering from hubris. I will be looking for opportunities to add in the coming months, I have a sizable holding already. Happy New Year to all ( Mylands I haven't forgotten our agreement).

[loganair] 31/12/2017 10:56

Seems just like Bwin was run badly for years, losing ground to other on-line players and now look how well they are doing in less than a year after being taking over by GVC.

[trentendboy] 30/12/2017 23:50

Indeed.Lads was very badly run for yearsManagement too arrogant

[woozle1] 30/12/2017 22:08

Finkie .. most of the consideration is in Gvc shares, which tells you LCl think the paper in the new business is valuable .. there’s still plenty of upside .. don’t underestimate just how badly LCl was run prior to the Coral tie up .. the business was barely run on economic grounds .. there’s still plenty of cost to come out of Lads and that before you put a line through it’s it operation .. w1

[coxsmn] 30/12/2017 12:18

Partypoker ahead of 888 on Pokerscout.http://pokerscout.com

[loganair] 30/12/2017 09:52

finke - The average lease length of a Lads retail shop is just 3.6 years, maybe even less now. Even GVC has mentioned about the short lease length of the average Lads bricks and mortar shop.

In my opinion with in 5 years GVC/Lads will have reduced the number of retail shops by 1,000 by not renewing leases when they expire. and will therefore represent no more than 20% of GVC/Lads.

[trentendboy] 30/12/2017 09:36

I agree with woozie. There is a lot of fat that can be trimmed from LADS.Kenny has shown already that he can be ruthless at cost cutting. My guess is a lot of expensive middle management will be for the chop plus IT guys etc.Shops are tricky. They make a profit due to the machines so the review result is important but there is sense in acting quickly on this

[mylands] 30/12/2017 09:32

I recall similar things were being said about Kenny paying too much when he raised his offer for SBT and outbid 888. Look where that deal took us; from a minnow to a giant of the industry.

[finkie] 30/12/2017 09:16

High street could be doomed it’s online now so dominant, I don’t think I visited a shop for Christmas this year, same with betting shops low grade punters keeping warm or spending small amounts, long leases high rents 3/4 staff per shop, business rates, heat light wear and tear it’s a potential nightmare for them in my view.

I have 15,000 shares left from 40,000 via sportech takeover, they owe me nothing but may slim a further 5,000 at £10.00 as I don’t like this acquisition it’s too expensive and lads and coral are only too happy to take the money and run.

[festario] 29/12/2017 23:46

Naughty Clubbie, very naughty.

[coxsmn] 29/12/2017 22:03

W, if you don't like the Lads deal and you think your money is better placed elsewhere then why are you still here? Lol

[woodhawk] 29/12/2017 21:55

"But can you find a better place to put your money than gvc?!"

At the current time - yes, I believe so. That's the point.

[club sandwich] 29/12/2017 21:23

"But can you find a better place to put your money than gvc?!"

VRS

[srpactive] 29/12/2017 21:04

B69

Thank you for your reply.

[coxsmn] 29/12/2017 15:05

Woodhawk, sounds like you have answered your own question and could be best selling and moving on. But can you find a better place to put your money than gvc?! Lol

[woodhawk] 29/12/2017 14:19

Well reasoned, Brownie69. I too am more concerned with protecting the large profits I have made here than possibly missing out on a relatively small rise. There are question marks around this deal I'm not happy with - and there are perhaps better opportunities elsewhere in the short term.

[brownie69] 29/12/2017 14:03

Just to clarify.

My position in criticising the deal to write off the 150 EUR for the Turkish deal is not a criticism of the Lads deal per se, nor my questioning that KA is one of the best, if not the best CEO in the sector.

To put my argument another way.

Why announce a deal at a 150m EUR price, payable over 5 years and then a month later write off the whole of the price after the anaysts will have factored the 150m EUR into their forecasts? If it had to be disposed of and no revenue was allowed back into GVC from an "illegal" business as a condition of the Lads deal getting done then spin it into a separate company and offer us pro rata shares. No "illegal" revs go into GVC and we do not get cheated out of the 150m EUR value. Everyone happy. I'd love to know exactly who is going to benefit from this write off...

In addition if GVC is going to be a FTSE contender they have to be attractive to the type of institutional investors that will maintain the valuation. Having a Chairman who clearly has his snout in the remuneration trough means that he is not going to count as independant. That manifested itself with a significant shareholder revolt over the remuneration package.

Posting all the bad news near or over the holiday period suggests to me that this is collectivly seen as bad news that should be buried. I dont think the big institutional investors are going to like this as a package and that is why I have reduced my holding. I may buy back in if it corrects to sub 800p.

SRP. The write off has nothing to do with US regulation in my opinion. GVC already are approved in the US and hold a New Jersey license.

[noujay] 29/12/2017 13:11

It's fairly clear that a) the deal needed to be done and done quickly in order to take such a potentially significant asset off the table for others and that b) the city is supportive of it.Whether it changes the dynamic and structure of what GVC has been over the past few years and that causes consternation then so be it. What is becoming clear is that the company needed to do this deal to avoid being caught in the middle with no next significant leg but to be purchased by another, and also to offset the changing regulatory environment. The dividend structure has not changed nor does anybody expect it to, although the sums may not be chart toppers when set as a percentage against a higher share price.Looking forward to 2018 on this one as it should be a major year performance-wise for both lads and gvc.

[woodhawk] 29/12/2017 11:54

DavR0s,

Well if it works for you, all well and good. That's all it's about - making a profit.

[davr0s] 29/12/2017 11:39

Analysis/paralysis - I don't do any research - all I look at is price and volume - that's all I need to know. I know when I'm out and I expect to be wrong 50% of the time. All the rest is completely guesswork imo. I'm holding and not close to my get out position

[rhuvaal2] 29/12/2017 11:34

I do agree with you Woodhawk and I have reduced to a nominal holding here: Kenny is brilliant but the meal will take some digesting and people are just not aware or bothered that western markets are at all-time highs. Red lights flash for me.

[woodhawk] 29/12/2017 11:06

"To those investors who question the acquisition of LCL I have a simple answer and that is sell your holding."

Clearly that is an option, as some institutions seem to have been doing and - as you mention the other day - extending their shorts. In any event, this isn't a zero sum game. Reinvestment later is always a consideration.

[mylands] 29/12/2017 10:27

To those investors who question the acquisition of LCL I have a simple answer and that is sell your holding.

With the share price within 6% of its all-time high, only those who bought between December 6th and now will be sitting on a potential loss of up to a maximum of 6%. Everyone else will be in profit. So those doubters with profits should take them and those with a small loss, just grin and bear it.

A Happy New Year to all who post to this thread and my prediction of a 950p end to the year looks like being out by about 20p. 2018 is going to be a very exciting year for those who continue to hold, and don't forget we have a year-end trading update in about two weeks' time, which has to contain positive news for LCL to have recommended the deal to its shareholders.

[noujay] 29/12/2017 10:22

I think it's likely it was purely to do with a requirement for regulation and bearing in mind the institutional positioning as mylands has kindly detailed here it, there was simply no place for it within a company that is likely to crash the FTSE 100.Yes it doesn't seem cleverly handled but it was over five years and the more I absorb the possibilities that the sheer scale of the new company will bring within the gaming industry the more it feels less consequential.Either way it's done and so soon enough we will discover exactly what the plan is for what will be very significant synergies in Head Office and thus reduced costs, the dreaded shops (although these are certainly mitigated by a sliding scale and, if what I read is accurate mostly on short leases), the optimisation of the Lads sports book and digital operation in line with the GVC platform and model, as well as potentially some debt-reducing disposals which I suspect will be likely once the new team have analysed the entire portfolio of assets in depth.